The proposed research will investigate the impact of stagflation (inflation-recession) on American families. Through a detailed survey of 2500 households sampled from five American cities with varying unemployment rates, through repeated depth interviews with 100 families and through econometric analyses of official statistics on inflation and unemployment in major cities and the economy as a whole, we plan to find out the types of families that are suffering most from stagflation and how families are adjusting to these severe economic conditions. Specifically, we shall examine the strategies families employ in their efforts to maintain a balance between their income and their standard of living. The various ways in which families attempt to raise their income (e.g. having a secondary wage earner enter the labor force) and the various ways in which families attempt to reduce their standard of living will be systematicaly studied. We shall also examine the impact of inflation on the structure of families, the relationship between husband and wife, the mental health of family members and the basic value-orientations of the chief wage earner, such as commitment to materialism and the work ethic.